An attorney for owners of The Acorn Hotel in Allentown sent a letter to the Liquor Control Board yesterday demanding a hearing by Jan. 31 on the board's refusal to renew the restaurant and bar's liquor license.

The letter requested that the board appoint an examiner; schedule, hold and record a hearing on the refusal to renew the license; receive the report; and file an opinion on that report before the Jan. 31 license expiration date.

The Acorn -- denied renewal on the basis of past noise violations -- is fighting the decision because its owners say that LCB officials are using their licensing powers as part of a new effort to crack down on what they term "nuisance" bars.

Other area tavern owners are backing The Acorn's battle.

"It's a very heavy abuse of government power in my opinion," said former LCB attorney A.T. Gillespie Jr., who now represents the Lehigh County Tavern Owners' Association.

Concerned about ramifications of The Acorn's situation, officers of the association decided yesterday to draft their own letter to the LCB deploring its action against The Acorn.

The LCB has never used its power to deny renewal as a tool to shut down selected establishments, Gillespie said, describing association members as shocked.

"Depending on how you read the liquor code," he said, "it's possible that the board could do it. But nobody was too concerned because it wasn't being used."

Allentown Mayor Joseph Daddona and tavern attorneys have accused the LCB of going too far in its action against The Acorn.

Richard Makoul, attorney for The Acorn's owners, said that Daddona will testify by phone on the their behalf if the owners seek court intervention Friday.

State police Liquor Control Enforcement cited owners Dennis and George Atiyeh seven times last year for noise violations stemming from outdoor bands. But Daddona contends that the city never meant to shut down The Acorn, saying the business has had a positive effect on the area economy.

If LCB officials decline The Acorn's immediate hearing request, Makoul said he will petition the court Friday to take action ensuring that the restaurant and bar can continue operating while the Atiyehs fight to retain their liquor license.

Because the hearing process ordinarily takes up to a year, it is unlikely the LCB will meet Makoul's request for a review and decision by Jan. 31.

An establishment denied renewal of its liquor license can request a board hearing and a court appeal if the opinion is unfavorable. But, in the past, renewal was practically automatic, Makoul said, adding that he believes the spirit of the law intends for owners to continue operating while they appeal.

Now, he said, without an LCB hearing before the end of the month or a court injunction, The Acorn would be financially ruined by the shutdown before owners could appeal.

If the Atiyehs go to court Friday, Makoul said, they will try to bypass the LCB hearing altogether on the basis that board members have already decided the fate.

If denied, he said, they will seek an injunction that would continue their liquor license during the LCB hearing and beyond, if an appeal is necessary.